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HEALT HMAN PRIVAT E PRACT ICE REVIEW March 2018 March 2018 A summary of breaking news and general information regarding healthcare in the public and private sector, published in the media. Contents 1. Food for Thought 2. View on Special News 3. View on Government 4. Financial Views 5. View on Medical Schemes 6. Special Notices Food for Thought Call for food safety law review Officials in the Department of Health (DoH) are pushing for a review of the key laws governing food safety, after a listeria outbreak exposed shortcomings in their powers to obtain potentially lifesaving information from companies and private laboratories – Business Day; 7 March 2018. More than a thousand laboratory-confirmed cases and 183 deaths have been recorded from January 2017 to March 2018. The National Institute for Communicable Diseases eventually traced the strain of Listeria monocytogenes responsible for 90% of the cases to polony made in Tiger Brands’ Enterprise Foods factory in Polokwane. Polony products containing a different strain of the deadly bacteria were also traced to Enterprise Foods Germiston factory and to RCL Foods Sasolburg’s processing plant. The DoH’s director of food control, Penny Campbell, said the department had repeatedly written to private laboratories and food industry associations requesting information to help trace the source of the outbreak but had been largely ignored. None of the key players from the SA Meat Processors’ Association were co-operative, and only 23 of the 83 members of the Consumer Goods Council provided a list of listeria-contaminated food. The National Laboratory Association did not respond to their call for assistance. View on Special News 2017/18 Tariff Inflator Update Insight Actuaries & Consultants compiled a 2017/18 tariff inflator update addressed to the South African Private Practitioners Forum (SAPPF) to present information on tariff increases for medical professionals (GPs, specialists and allied professionals). All the options based on using the CPI index as a proxy for tariff inflation have been shown to be wholly or partially inappropriate. Consequently, a viable option is to create a price index from first principles. The proposed structure of the inflator reflects the perspectives of both the providers and funders. The input-cost inflation figure for 2017/18 is calculated to be 5.14%. This is made up of an increase of 3.2% for equipment-intensive disciplines, 5.8% for blended disciplines and 6.5% for labour- intensive disciplines. The affordability constraint is calculated as the difference between salary inflation of 7.8% and an utilisation adjustment of 2% (i.e. 5.8%). Were a higher utilisation adjustment of 3.5% to be used the affordability constraint would be 4.3%. (For comparative purposes the July to July increase in CPI is 4.6%) 1. Input cost inflator for Equipment Intensive Disciplines: 3,19% (e.g. radiologists, radiographers, radio therapists and pathologists). 2. Input cost inflator for Blended Disciplines amounts to 5,77% (e.g. gynaecologists, oncologists, neuro surgeons, surgeons, dentistsorthotists and emergency doctors). 3. Input cost inflator for Labour Intensive Disciplines is 6,51% (e.g chiropractors, anaesthetists, general practitioners, dermatologists, psychotherapists, dieticians and registered nurses). For more info visit, the HealthMan Website (News) Reminder regarding annual fees The annual fee for 2018/19 Health Profession's Council of South Africa's (HPCSA) is payable before or on 1 April 2018 by persons registered in terms of the Health Professions Act 1974 (Act No. 56 of 1974). Practitioners are encouraged to use the Online Renewal Portal to renew fees online. Practitioners should also bear in mind that payments on and after 2 April 2018 will be subject to the increased VAT of 15%. Short- or non-payment of fees may result in the scrapping of a practitioner's HPCSA membership. Should you encounter challenges using the portal please contact the Call Centre on 012 338 9300/1 or Email them the screenshot of the error message on [email protected]. When a patient chooses to come to your practice, they are evaluating it, not only on the service provided by the doctor but also by the efficiency of the admin process and the overall experience. There are a number of options available to you to manage the practice in such a way that there’s a substantial amount of profit, as well as happy patients. So, how does one find this balance? We share the ultimate cheat sheet to ensure you cover all the bases. For more data protection tips, click on the button below. Button Nine Great Reasons why Medical Practitioners partner with Finance Management Experts MFI is a multi faceted financial institution that offers many areas of financial management expertise – the primary one being the financial management of the medical profession. In a previous article on why Medical Practitioners need specialist financial services, we pointed out that Medical Practitioners have very specific requirements with regards to their financing. In this article we drill into a few of the services we offer to ensure we can fulfil a partnership mandate from our Medical Practitioner clients. Click on the button below to read the 9 great reasons medical practitioners partner with finance management experts. Or follow us on facebook.com/MFIMedicalBusiness/[email protected] Button Multilateral tariff negotiations essential to replace flawed insured fee-for-service processes Tariff negotiations between funders, hospitals and providers based on price only with no quid pro quo on demand and no quid pro quo on quality in an insured fee-for-service (FFS) environment is a fundamental problem in South Africa’s private healthcare system. “The problem with FFS is that, when combined with insurance, it kills the relationship between price and demand for the consumer,” Prof Alex van den Heever, well-known healthcare economist, now Chair in the field of Social Security Wits School of Governance, told Institute of Health Risk Managers (IHRM) seminar delegates in Johannesburg on Friday (2 March). Speaking in his personal capacity, Van den Heever based his address on “realities” he brought to the attention of the Competition Commission’s Health Market Inquiry (HMI) panel in a presentation towards the end of last year. To read more, click on the button below or go to: http://medbriefafrica.co.za/ to download the Med Brief Africa App on your phone. Doctors who have already downloaded the Med Brief Africa App can access the article on their phones. Button View on Government 'Life Esidimeni' conditions in Eastern Cape? Following complaints about conditions at the Tower Psychiatric Hospital, Fort Beaufort, Eastern Cape the SA Society of Psychiatrists (SASOP) and other advocacy representatives are drafting a report on the findings after a visit to the hospital. In addition, an investigative task team has been appointed by the Eastern Cape DoH while the relevant Mental Health Review Board will also be requested to investigate the matter. SASOP will await the findings of the task team to determine any further action that may be required. Life Esidimeni Meanwhile Gauteng premier David Makhura will appoint an independent curator to ensure that all the decisions of retired deputy chief justice Dikgang Moseneke on the inquiry into the Life Esidimeni tragedy are implemented. RAF, Medscheme marriage under the spotlight Parliament to get tough on corruption in Gupta-scandal On March 9, Mail & Guardian reported that a multimillion-rand contract between Medscheme and the Road Accident Fund (RAF) is at the centre of an investigation after a whistle-blower alleged close personal ties between officials of both entities. Apparently Medscheme was awarded its part of a contract that has seen the company pocketing more than R130-m for completing less than 50% of the cases it was given. *Meanwhile Treasury officials defended the budget’s extra contribution to the RAF, saying it is necessary to help address the "massive deficit" in the fund. Of the 52c a litre increase in the fuel levies announced in the 2018-19 budget, 30c will go towards the RAF to stabilise short-term liabilities at about R8.5-bn per year. The chairperson of Parliament's portfolio committee on health has vowed that the committee will not let corruption take hold in the health sector. This after it emerged that the North West health department spends millions each month on private ambulances and that a Gupta-linked company is providing mobile clinics in the North West. Exacerbating the matter were reports that the Free State health department paid a Gupta-linked company millions to provide mobile clinic services. * On March 11, Sunday Independent reported that Dr Thabo Lekalakala, the HOD of Health in the North West has allegations levelled against him for using a conditional HIV grant of more than R50-m to pay an ambulance firm. Newsflashes Foreign-trained doctors frustrated The HPCSA has from last month been insisting that SA graduates do internships in the country where they studied before writing their medical board exams here. The affected doctors have also been asked to provide “an original certificate of good standing, not more than six months old, issued by the foreign registration authority where the applicant is or was registered”. Gauteng health is bleeding the fiscus The Gauteng treasury tabled a R121-bn budget for the province. The health department received the lion’s share at R46.4-bn - up from R41.9-bn in the previous financial year. More than R5-bn of the health budget will be directed to pay off accruals accumulated over the years. KZN health allegedly wasted millions on vehicles The KwaZulu-Natal legislature’s health portfolio committee says it has made “astonishing discoveries” of irregular expenditure related to mobile clinics, including a three-year, R52.5-m lease. Financial Views Lifestyle Taxes to generate revenue for Treasury Advanced Health BEE The introduction of a tax on sugary drinks (effective from 1 April) is expected to generate around R2-bn in tax revenue. National Treasury said in the 2018 Budget Review a policy brief on the use of taxes to encourage “healthy choices” will be published shortly. Jerome Brink, senior associate in Cliffe Dekker Hofmeyr’s Tax and Exchange Control practice, said to his knowledge studies are inconclusive in respect of the causation between the imposition of the sugar tax and a reduction of non-communicable diseases such as diabetes. Gabriel Eksteen, health promotion officer at the SA Heart and Stroke Foundation, warned that sugar was not the only cause of obesity. He said in addition to educating consumers, the food industry needs to provide healthier food options. Health Minister Aaron Motsoaledi is expected to announce new measures against smoking, including a ban on smoking in all public places, plain cigarette packages and gory pictorial health warnings on packs. This follows the recent World Conference on Tobacco or Health in Cape Town where more than 2 000 tobacco control experts from 100 countries gathered. Day surgery group Advanced Health is looking for black economic empowerment (BEE) partners, as it seeks to bolster its chances of doing business with the government. On paper, Advanced’s day- hospital model looks a healthy alternative to the (largely) default private hospital offering. The local operations generated a top line of R53-m - but posted a hefty loss of R22.3-m. Advanced’s network of day hospitals grew from just 826 in the first quarter of the 2016 financial year to 3 264 in the first quarter of the 2018 financial year. View on Medical Schemes Annual medical scheme claims expenditure rose on average by 11.3% a year over the past decade, far faster than consumer price inflation, which increased on average by just 6.1%, according to Discovery Health Medical Scheme (DHMS) data. The data, packaged as the Discovery Health Medical Inflation Tracker , unpacks the extent to which the annual increase in medical scheme claims has been driven by changes in the price of healthcare services. Between 2008 and 2017, the tariffs charged by healthcare providers such as doctors and hospitals closely tracked moves in the consumer price index (CPI). Tariffs rose on average by 0.5% above CPI during this period, at 6.6%. The use of services rose 4.7% a year because of increased demand for services from an ageing medical scheme population, increase in the burden of chronic disease, changes to clinical practice and new technologies, drugs and hospitals. Both DHMS and the Government Employees’ Medical Scheme experienced a sharp rise in hospital admissions in 2015-16. The financial impact of the VAT increase will extend to medical savings accounts (MSA) and out-of-pocket expenditure, whereby members can be expected to deplete their MSA balances much faster. Circulars:Council for Medical Schemes The following Circulars were published by the CMS in March 2018. Visit www.medicalschemes.co.za for more info. 9 of 2018 Request for HIV, TB and STI data for the SA National Aids Council (SANAC) 10 of 2018 Auditor Authorisations and Approvals 11 of 2018 Healthcare Utilisation Annual Statutory Return for the financial year ending 31 December 2017 12 of 2018 Prescribed ISAE 3000 (Revised) Auditor Report template 13 of 2018 Annual Statutory Returns for the financial year ended 31 December 2017 14 of 2018 Administrator workshop 2018 Confirmation of the date & circulation of the Agenda 15 of 2018 Schemes notification for conducting Scheme Meetings and Elections Special Notices Private Sale Plettenberg Bay Whale Rock Heights. 337 square meters in a gated estate. Plans, water connection, engineered retaining & boundary walls built. Bargain at R380 000. Phone: 074 801 6129 Email: [email protected] On a successful sale to a PMG member, I pledge R10 000 to the PMG for allowing exposure to their membership. R5 000 is also pledged to the PLETT BITOU FIRE VICTIMS DISASTER RELIEF FUND. To advertise, contact Maretha Conradie: [email protected] HealthView and Private Practice Review provide news and opinion articles as a service to our members to enhance their understanding of the health care industry. The information contained in these publications is published without warranties of any kind, either express or implied. HealthView and Private Practice Review are published solely for informational purposes and should not to be construed as advice or recommendations. Individuals should take into account their own unique and specific circumstances in acting on any news or articles published. Often these articles originate from sources outside our organization that are reported in the national press. Consequently, any information, trademarks, service marks, product names or named features are assumed to be the property of their respective owners, and are used solely for informative purposes in our publications. There is furthermore no implied endorsement of any of the products, goods or services mentioned in our publications.

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Page 1: View on Special News - MYMEMBERSHIP

HEALTHMANPRIVATEPRACTICEREVIEWMarch2018

March2018Asummaryofbreakingnewsandgeneralinformationregardinghealthcareinthepublicandprivatesector,publishedinthemedia.

Contents1. FoodforThought2. ViewonSpecialNews3. ViewonGovernment4. FinancialViews5. ViewonMedicalSchemes6. SpecialNotices

FoodforThought

Callforfoodsafetylawreview

OfficialsintheDepartmentofHealth(DoH)arepushingforareviewofthekeylawsgoverningfoodsafety,afteralisteriaoutbreakexposedshortcomingsintheirpowerstoobtainpotentiallylifesavinginformationfromcompaniesandprivatelaboratories–BusinessDay;7March2018.

Morethanathousandlaboratory-confirmedcasesand183deathshavebeenrecordedfromJanuary2017toMarch2018.TheNationalInstituteforCommunicableDiseaseseventuallytracedthestrainofListeriamonocytogenesresponsiblefor90%ofthecasestopolonymadeinTigerBrands’EnterpriseFoodsfactoryinPolokwane.PolonyproductscontainingadifferentstrainofthedeadlybacteriawerealsotracedtoEnterpriseFoodsGermistonfactoryandtoRCLFoodsSasolburg’sprocessingplant.

TheDoH’sdirectoroffoodcontrol,PennyCampbell,saidthedepartmenthadrepeatedlywrittentoprivatelaboratoriesandfoodindustryassociationsrequestinginformationtohelptracethesourceoftheoutbreakbuthadbeenlargelyignored.NoneofthekeyplayersfromtheSAMeatProcessors’Associationwereco-operative,andonly23ofthe83membersoftheConsumerGoodsCouncilprovidedalistoflisteria-contaminatedfood.TheNationalLaboratoryAssociationdidnotrespondtotheircallforassistance.

ViewonSpecialNews

2017/18TariffInflatorUpdate

InsightActuaries&Consultantscompileda2017/18tariffinflatorupdateaddressedtotheSouthAfricanPrivatePractitionersForum(SAPPF)topresentinformationontariffincreasesformedicalprofessionals(GPs,specialistsandalliedprofessionals).

AlltheoptionsbasedonusingtheCPIindexasaproxyfortariffinflationhavebeenshowntobewhollyorpartiallyinappropriate.

Consequently,aviableoptionistocreateapriceindexfromfirstprinciples.

Theproposedstructureoftheinflatorreflectstheperspectivesofboththeprovidersandfunders.

Theinput-costinf lationf igurefor2017/18iscalculatedtobe5.14%.Thisismadeupof anincreaseof3.2%forequipment-intensivedisciplines,5.8%forblended

disciplinesand6.5%forlabour-intensivedisciplines.

Theaffordabilityconstraintiscalculatedasthedifferencebetweensalaryinflationof7.8%andanutilisationadjustmentof2%(i.e.5.8%).Wereahigherutilisationadjustmentof3.5%tobeusedtheaffordabilityconstraintwouldbe4.3%.(ForcomparativepurposestheJulytoJulyincreaseinCPIis4.6%)

1. Inputcostinf latorforEquipmentIntensiveDisciplines:3,19%(e.g.radiologists,radiographers,radiotherapistsandpathologists).

2. Inputcostinf latorforBlendedDisciplinesamountsto5,77%(e.g.gynaecologists,oncologists,neurosurgeons,surgeons,dentistsorthotistsandemergencydoctors).

3. Inputcostinf latorforLabourIntensiveDisciplinesis6,51%(e.gchiropractors,anaesthetists,generalpractitioners,dermatologists,psychotherapists,dieticiansandregisterednurses).

Formoreinfovisit,theHealthManWebsite(News)

Reminderregardingannualfees

Theannualfeefor2018/19HealthProfession'sCouncilofSouthAfrica's(HPCSA)ispayablebeforeoron1April2018bypersonsregisteredintermsoftheHealthProfessionsAct1974(ActNo.56of1974).

PractitionersareencouragedtousetheOnlineRenewalPortaltorenewfeesonline.Practitionersshouldalsobearinmindthatpaymentsonandafter2April2018willbesubjecttotheincreasedVATof15%.Short-ornon-paymentoffeesmayresultinthescrappingofapractitioner'sHPCSAmembership.

ShouldyouencounterchallengesusingtheportalpleasecontacttheCallCentreon0123389300/1or

Emailthemthescreenshotof [email protected].

Whenapatientchoosestocometoyourpractice,theyareevaluatingit,notonlyontheserviceprovidedbythedoctorbutalsobytheefficiencyoftheadminprocessandtheoverallexperience.Thereareanumberofoptionsavailabletoyoutomanagethepracticeinsuchawaythatthere’sasubstantialamountofprofit,aswellashappypatients.

So,howdoesonefindthisbalance?Wesharetheultimatecheatsheettoensureyoucoverallthebases.

Formoredataprotectiontips,clickonthebuttonbelow.

Button

NineGreatReasonswhyMedicalPractitionerspartnerwithFinanceManagementExperts

MFIisamultifacetedfinancialinstitutionthatoffersmanyareasoffinancialmanagementexpertise–theprimaryonebeingthefinancialmanagementofthemedicalprofession.

InapreviousarticleonwhyMedicalPractitionersneedspecialistfinancialservices,wepointedoutthatMedicalPractitionershaveveryspecificrequirementswithregardstotheirfinancing.

InthisarticlewedrillintoafewoftheservicesweoffertoensurewecanfulfilapartnershipmandatefromourMedicalPractitionerclients.

Clickonthebuttonbelowtoreadthe9greatreasonsmedicalpractitionerspartnerwithf inancemanagementexperts.

Orfollowusonfacebook.com/MFIMedicalBusiness/mf i@mf i.co.za

Button

Multilateraltariffnegotiationsessentialtoreplaceflawedinsuredfee-for-serviceprocesses

Tariffnegotiationsbetweenfunders,hospitalsandprovidersbasedonpriceonlywithnoquidproquoondemandandnoquidproquoonqualityinaninsuredfee-for-service(FFS)environmentisafundamentalprobleminSouthAfrica’sprivatehealthcaresystem.

“TheproblemwithFFSisthat,whencombinedwithinsurance,itkillstherelationshipbetweenpriceanddemandfortheconsumer,”ProfAlexvandenHeever,well-knownhealthcareeconomist,nowChairinthefieldofSocialSecurityWitsSchoolofGovernance,toldInstituteofHealthRiskManagers(IHRM)seminardelegatesinJohannesburgonFriday(2March).

Speakinginhispersonalcapacity,VandenHeeverbasedhisaddresson“realities”hebroughttotheattentionoftheCompetitionCommission’sHealthMarketInquiry(HMI)panelinapresentationtowardstheendoflastyear.

Toreadmore,clickonthebuttonbeloworgoto:http://medbriefaf rica.co.za/todownloadtheMedBrief Af ricaApponyourphone.DoctorswhohavealreadydownloadedtheMedBrief Af ricaAppcan

accessthearticleontheirphones.

Button

ViewonGovernment

'LifeEsidimeni'conditionsinEasternCape?

FollowingcomplaintsaboutconditionsattheTowerPsychiatricHospital,FortBeaufort,EasternCapetheSASocietyofPsychiatrists(SASOP)andotheradvocacyrepresentativesaredraftingareportonthefindingsafteravisittothehospital.Inaddition,aninvestigativetaskteamhasbeen

appointedbytheEasternCapeDoHwhiletherelevantMentalHealthReviewBoardwillalsoberequestedtoinvestigatethematter.

SASOPwillawaitthefindingsofthetaskteamtodetermineanyfurtheractionthatmayberequired.

LifeEsidimeni

MeanwhileGautengpremierDavidMakhurawillappointanindependentcuratortoensurethatallthedecisionsofretireddeputychiefjusticeDikgangMosenekeontheinquiryintotheLifeEsidimenitragedyareimplemented.

RAF,Medschememarriageunderthespotlight

ParliamenttogettoughoncorruptioninGupta-scandal

OnMarch9,Mail&Guardianreportedthatamultimillion-randcontractbetweenMedschemeandtheRoadAccidentFund(RAF)isatthecentreofaninvestigationafterawhistle-blowerallegedclosepersonaltiesbetweenofficialsofbothentities.

ApparentlyMedschemewasawardeditspartofacontractthathasseenthecompanypocketingmorethanR130-mforcompletinglessthan50%ofthecasesitwasgiven.

*MeanwhileTreasuryofficialsdefendedthebudget’sextracontributiontotheRAF,sayingitisnecessarytohelpaddressthe"massivedeficit"inthefund.Ofthe52calitreincreaseinthefuelleviesannouncedinthe2018-19budget,30cwillgotowardstheRAFtostabiliseshort-termliabilitiesataboutR8.5-bnperyear.

ThechairpersonofParliament'sportfoliocommitteeonhealthhasvowedthatthecommitteewillnotletcorruptiontakeholdinthehealthsector.

ThisafteritemergedthattheNorthWesthealthdepartmentspendsmillionseachmonthonprivateambulancesandthataGupta-linkedcompanyisprovidingmobileclinicsintheNorthWest.

ExacerbatingthematterwerereportsthattheFreeStatehealthdepartmentpaidaGupta-linkedcompanymillionstoprovidemobileclinicservices.

*OnMarch11,SundayIndependentreportedthatDrThaboLekalakala,theHODofHealthintheNorthWesthasallegationslevelledagainsthimforusingaconditionalHIVgrantofmorethanR50-mtopayanambulancefirm.

Newsflashes

Foreign-traineddoctorsf rustratedTheHPCSAhasfromlastmonthbeeninsistingthatSAgraduatesdointernshipsinthecountrywheretheystudiedbeforewritingtheirmedicalboardexamshere.Theaffecteddoctorshavealsobeenaskedtoprovide“anoriginalcertificateofgoodstanding,notmorethansixmonthsold,issuedbytheforeignregistrationauthoritywheretheapplicantisorwasregistered”.

Gautenghealthisbleedingthef iscusTheGautengtreasurytabledaR121-bnbudgetfortheprovince.Thehealthdepartmentreceivedthelion’sshareatR46.4-bn-upfromR41.9-bninthepreviousfinancialyear.MorethanR5-bnofthehealthbudgetwillbedirectedtopayoffaccrualsaccumulatedovertheyears.KZNhealthallegedlywastedmillionsonvehiclesTheKwaZulu-Natallegislature’shealthportfoliocommitteesaysithasmade“astonishingdiscoveries”ofirregularexpenditurerelatedtomobileclinics,includingathree-year,R52.5-mlease.

FinancialViews

LifestyleTaxestogeneraterevenueforTreasury

AdvancedHealthBEE

Theintroductionofataxonsugarydrinks(effectivefrom1April)isexpectedtogeneratearoundR2-bnintaxrevenue.NationalTreasurysaidinthe2018BudgetReviewapolicybriefontheuseoftaxestoencourage“healthychoices”willbepublishedshortly.

JeromeBrink,seniorassociateinClif feDekkerHofmeyr ’sTaxandExchangeControlpractice,saidtohisknowledgestudiesareinconclusiveinrespectofthecausationbetweentheimpositionofthesugartaxandareductionofnon-communicablediseasessuchasdiabetes.GabrielEksteen,healthpromotionof f icerattheSAHeartandStrokeFoundation,warnedthatsugarwasnottheonlycauseofobesity.Hesaidinadditiontoeducatingconsumers,thefoodindustryneedstoprovidehealthierfoodoptions.HealthMinisterAaronMotsoalediisexpectedtoannouncenewmeasuresagainstsmoking,includingabanonsmokinginallpublicplaces,plaincigarettepackagesandgorypictorialhealthwarningsonpacks.ThisfollowstherecentWorldConferenceonTobaccoorHealthinCapeTownwheremorethan2000tobaccocontrolexpertsfrom100countriesgathered.

DaysurgerygroupAdvancedHealthislookingforblackeconomicempowerment(BEE)partners,asitseekstobolsteritschancesofdoingbusinesswiththegovernment.

Onpaper,Advanced’sday-hospitalmodellooksahealthyalternativetothe(largely)defaultprivatehospitaloffering.ThelocaloperationsgeneratedatoplineofR53-m-butpostedaheftylossofR22.3-m.

Advanced’snetworkofdayhospitalsgrewfromjust826inthefirstquarterofthe2016financialyearto3264inthefirstquarterofthe2018financialyear.

ViewonMedicalSchemesAnnualmedicalschemeclaimsexpenditureroseonaverageby11.3%ayearoverthepastdecade,farfasterthanconsumerpriceinflation,whichincreasedonaveragebyjust6.1%,accordingtoDiscoveryHealthMedicalScheme(DHMS)data.Thedata,packagedastheDiscoveryHealthMedicalInf lationTracker,unpackstheextenttowhichtheannualincreaseinmedicalschemeclaimshasbeendrivenbychangesinthepriceofhealthcareservices.

Between2008and2017,thetariffschargedbyhealthcareproviderssuchasdoctorsandhospitalscloselytrackedmovesintheconsumerpriceindex(CPI).Tariffsroseonaverageby0.5%aboveCPIduringthisperiod,at6.6%.Theuseofservicesrose4.7%ayearbecauseofincreaseddemandforservicesfromanageingmedicalschemepopulation,increaseintheburdenofchronicdisease,changestoclinicalpracticeandnewtechnologies,drugsandhospitals.

BothDHMSandtheGovernmentEmployees’MedicalSchemeexperiencedasharpriseinhospitaladmissionsin2015-16.ThefinancialimpactoftheVATincreasewillextendtomedicalsavingsaccounts(MSA)andout-of-pocketexpenditure,wherebymemberscanbeexpectedtodepletetheirMSAbalancesmuchfaster.

Circulars:CouncilforMedicalSchemes

ThefollowingCircularswerepublishedbytheCMSinMarch2018.Visit www.medicalschemes.co.zaformoreinfo.

9of2018RequestforHIV,TBandSTIdatafortheSANationalAidsCouncil(SANAC)

10of2018AuditorAuthorisationsandApprovals11of2018HealthcareUtilisationAnnualStatutoryReturnforthefinancialyearending31December2017

12of2018PrescribedISAE3000(Revised)AuditorReporttemplate

13of2018AnnualStatutoryReturnsforthefinancialyearended31December201714of2018Administratorworkshop2018Confirmationofthedate&circulationoftheAgenda

15of2018SchemesnotificationforconductingSchemeMeetingsandElections

SpecialNoticesPrivateSalePlettenbergBayWhaleRockHeights.337squaremetersinagatedestate.Plans,waterconnection,engineeredretaining&boundarywallsbuilt.BargainatR380000.Phone:0748016129Email:[email protected],IpledgeR10000tothePMGforallowingexposuretotheirmembership.R5000isalsopledgedtothePLETTBITOUFIREVICTIMSDISASTERRELIEFFUND.

Toadvertise,contactMarethaConradie:[email protected]

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thesepublicationsispublishedwithoutwarrantiesofanykind,eitherexpressorimplied.HealthView

andPrivatePracticeReviewarepublishedsolelyforinformationalpurposesandshouldnottobe

construedasadviceorrecommendations.Individualsshouldtakeintoaccounttheirownuniqueand

specificcircumstancesinactingonanynewsorarticlespublished.Oftenthesearticlesoriginatefrom

sourcesoutsideourorganizationthatarereportedinthenationalpress.Consequently,any

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